22 GRC Professional • Autumn 2013
PROJECT
GRC through the
looking glass
When an urban development is of such magnitude
that it will take 20 years to complete, being able
to deliver value beyond profit while meeting those
profit objectives requires a great deal of futuristic
and lateral thinking.
BY DEN ISE MCNA BB
THE CHALLENGE IS TO CREATE A
blueprint with such flexibility and co-operation at
every level that it will endure the test of time to the
satisfaction of all parties. Not only must a host of
regulatory requirements be met and design aspects
covered off, but also technological change and
sustainability needs to be taken on board.
This is the challenge facing the creators of
Barangaroo -- 22 hectares of disused container wharves
on the western harbour edge of Sydney's CBD.
The project is a mix of state-of-the-art sustainable
apartments, commercial office towers, retail,
educational, civic, and cultural and entertainment
activities as well as a six-hectare headland park
integrated with new and extended transport systems.
The NSW Government created the Barangaroo
Delivery Authority (BDA) to ensure the $6 billion
project is managed in a coordinated and financially
responsible manner with the aim of turning it into
a global exemplar to port cities around the world so
there is both a regulatory and government buy-in.
Learning on the go
GRC professionals can learn a lot from how
these sorts of projects are executed because, like
regulatory projects, there are mandatory forces that
are external to the organisation that drive them.
An analogy can be drawn between planning a
sustainable building and sustainable regulatory
change. In both instances it is necessary not
Issues involving
governance and
funding into
the future need
to be captured
now to ensure
that the
environmental
systems can be
maintained and
can improve
over time.
only to look at the execution but also at policy,
and behavioural and operational changes that are
intended to flow from the policy.
Sue Linney, a concept engineer and principal
at Lex Regulate, which manages and transforms
regulatory projects, says the key is to build a
framework that is adaptable to change when
regulations change. Linney says the process, timing
and resourcing need to be different from other
projects to reflect these factors.
"There are a multitude of stakeholders, both
internal and external, with many seemingly divergent
interests who are on steep learning curves at different
times with different perspectives and goals."
She says building for changes in regulation,
technology and business needs to be done in
phases so participants can be assured there is a truly
sustainable regulatory change framework.
"These phases can happen concurrently or
sequentially. It is a question of defining the benefits,
and participants having a clear blueprint -- very much
like you would have with a building."
Rules of engagement
Anticipating the environment for compliance in a
project such as Barangaroo needs a shift in attitude
as well as a change in the approach to undertaking
regulatory change, says Linney.
"Engagement is a key part of this, but all too often
there is confusion about what engagement entails